When you produce cars, it is enormously expensive to produce one car, but then the costs per car decrease as more are produced. This would be an example of:

From the Great Depression in the 1930s until the tax reforms of the 1980s, the United States government integrated a number of what might best be called ________ institutions into the economy.

Refer to the graph below.  With which curve does the opportunity cost of an additional unit of good Y decrease as more units of good Y are produced?

An economy that operates inside its production possibility curve is less efficient than it would be if it were operating on its production possibility curve.

Production possibility curves are upward-sloping because increased production of one good implies reduced production of other goods.

Which of the following is a good example of government’s attempt to correct for macroeconomic externalities?

The law of one price means that prices eventually will be the same in all countries and eventually countries will not have a reason to trade.

Investment in capital goods is one way to increase the standard of living in the future. Investment in capital goods, however, means that we must forgo consumption today. One of the trade-offs facing an economy is consumption today and consumption in the future. The following table presents such a trade-off. With this information we know that the opportunity cost of which of the following is the greatest?  

In election campaigns, presidents often promise more of everything (that is, more guns and more butter). What would help those elected president fulfill that promise?

If there were decreasing marginal opportunity costs, the production possibility curve would be: